Energy

Shell to raise dividends again despite 30% fall in annual profits


Shell will raise its shareholder dividends by 4% this year despite a 30% fall in its full-year profits to $28.3bn (£22.37bn) for 2023 as global oil and gas market prices began to ease.

The oil company handed its shareholders $23bn in payouts last year, and plans to pay a further $3.5bn in share buy-backs over the first quarter of 2024 as its dividend payouts continue to grow.

Shell plans to return more cash to shareholders despite a fall in full-year adjusted earnings from almost $40bn in 2022, the biggest in its 115-year history, to $28.3bn last year as global oil and gas prices cooled.

The company’s profits exceeded City expectations after a better-than-expected final quarter in which Shell reported adjusted earnings of $7.3bn compared with forecasts of just over $6bn.

Shell credited its “robust operational performance” and strong trading from its liquified natural gas business for the better than expected results.

skip past newsletter promotion

Shell’s chief executive, Wael Sawan, said: “In 2023, Shell returned $23bn to shareholders. In line with our progressive dividend policy, Shell is now increasing its dividend by 4%. We are also commencing a $3.5bn buyback programme for the next three months.”



READ SOURCE